(a) (1) The special fund in the State Treasury known as the
West Virginia Lottery Racetrack Table Games Fund is continued and
all tax collected under this article shall be deposited with the
State Treasurer and placed in the West Virginia Lottery Racetrack
Table Games Fund. The fund shall beis an interest-bearing account
with all interest or other return earned on the money of the fund
credited to and deposited in the fund.

(2) Notwithstanding any provision of this article to the
contrary, all racetrack table games license fees received by the
commission pursuant to section eight of this article shall be
deposited into the Community-Based Service Fund which is continued
in the State Treasury. Moneys of the fund shall be expended by the
Bureau of Senior Services upon appropriation of the Legislature
solely for the purpose of enabling the aged and disabled citizens
of this state to maintain their residency in the community-based
setting through the provision of home and community-based services.

(b) From the gross amounts deposited into the Racetrack Table
Games Fund pursuant to subsection (a) of this section, the
commission shall:

(1) Retain an amount for the administrative expenses of the
commission as determined by the commission in accordance with
subsection (e) of this section;

(2) Transfer two and one-half percent of adjusted gross
receipts from all thoroughbred racetracks with West Virginia
Lottery table games to the special funds established by each
thoroughbred racetrack table games licensees for the payment of
regular racetrack purses, the amount being divided on a pro rata
basis between the special funds of each thoroughbred racetrack
table games licensee and transfer two and one-half percent of
adjusted gross receipts from all greyhound racetracks with West
Virginia Lottery table games to the special funds established by
each greyhound racetrack table games licensees for the payment of
regular racetrack purses, the amount being divided equally between
the special funds of each greyhound racetrack table games licensee;

(3) Transfer two percent of the adjusted gross receipts from
all licensed racetracks to the West Virginia Thoroughbred
Development Fund created under section thirteen-b, article twenty-three, chapter nineteen of this code and the West Virginia
Greyhound Breeding Development Fund created under section ten,
article twenty-three, chapter nineteen of this code. The total
amount transferred under this subdivision shall be divided pro rata
among the development funds for each racetrack table games licensee
based on relative adjusted receipts from each racetrack. The
amounts transferred to these funds may not be used for the benefit
of any person or activity other than at or associated with a
racetrack table games licensee;

(4) Transfer one percent of the adjusted gross receipts from
each licensed racetrack to the county commissions of the counties
where racetracks with West Virginia Lottery table games are
located. County commissions may pledge this money to make payments
on lottery revenue bonds issued pursuant to article two-h, chapter
thirteen of this code. The one percent transferred under this
subdivision shall be divided pro rata among the counties with a
racetrack with West Virginia Lottery table games based on relative
adjusted gross receipts from each county’s racetrack: Provided,
That the county board of education of a growth county, as that term
is defined in section three, article twenty, chapter seven of this
code, which has enacted the Local Powers Act, and in which county
a racetrack is located that has participated in the West Virginia
Thoroughbred Development Fund since on or before January 1, 1991,
shall receive the one percent of adjusted gross receipts as
provided in this subdivision for the purpose of public projects, as
defined in section two, article two-h, chapter thirteen of this
code or to make payments on lottery revenue bonds issued to finance
public projects;

(5) Transfer two percent of the adjusted gross receipts from
each licensed racetrack to the governing bodies of municipalities
within counties where racetracks with West Virginia Lottery table
games are located. Municipalities may pledge the money to make
payments on lottery revenue bonds issued pursuant to article two-h,
chapter thirteen of this code. This money shall be allocated as
follows:

(A) One half of the amounts transferred under this subdivision
shall be allocated to the municipalities within each county having
a racetrack table games licensee, based on relative adjusted gross
receipts from West Virginia Lottery table games from those
racetracks and the total amount allocated to the municipalities
within a county shall be divided pro rata among the municipalities
based on each municipality’s population determined at the most
recent United States decennial census of population: Provided,
That: (i) For each allocation, when a municipality is physically
located in two or more counties, only that portion of its
population residing in the county where the authorized table games
are located shall be considered; (ii) a single municipality in a
county where West Virginia Lottery racetrack table games are played
may not receive a total share under this paragraph that is in
excess of seventy-five percent of the total distribution under this
paragraph for the county in which the municipality is located; and
(iii) a municipality receiving moneys under this paragraph may not
receive an amount which is less than that received by a
municipality under provisions of subdivision (4), subsection (d) of
this section; and

(B) One half of the amounts transferred under this subdivision
shall be allocated pro rata to the municipalities within all the
counties, having a racetrack table games licensee based on each
municipality’s population determined at the most recent United
States decennial census of population: Provided, That: (i) A
municipality which received funds above its pro rata share pursuant
to subpart (iii), paragraph (A) of this subdivision may not receive
an allocation under this paragraph; (ii) for each allocation, when
a municipality is physically located in two or more counties, only
that portion of its population residing in the county where the
authorized table games are located shall be considered; and (iii)
a single municipality in a county where West Virginia Lottery
racetrack games are played may not receive a total share under this
paragraph that is in excess of twenty-five percent of the total
transfers under this paragraph: Provided, however, That the county
board of education of a growth county, as that term is defined in
section three, article twenty, chapter seven of this code, which
has enacted the Local Powers Act, and in which county a racetrack
is located that has participated in the West Virginia Thoroughbred
Development Fund since on or before January 1, 1991, shall receive
the two percent of adjusted gross receipts as provided in this
subdivision for the purpose of public projects, as defined in
section two, article two-h, chapter thirteen of this code, or to
make payments on lottery revenue bonds issued to finance the public
projects;

(6) Transfer one half of one percent of the adjusted gross
receipts to the governing bodies of municipalities in which a
racetrack table games licensee is located. The municipalities
shall each receive an equal share of the total amount allocated
under this subdivisionProvided,except that distribution under
this subdivision may not be made to any municipality which did not
have a licensed racetrack within its municipal boundaries as they
existed on January 1, 2007. Provided, however, That If no
racetrack table games licensee is located within a municipality, a
transfer may not be made under this subdivision. The municipality
may pledge this money to make payments on lottery revenue bonds
issued pursuant to article two-h, chapter thirteen of this code;
and

(7) Distribute the remaining amounts, hereinafter referred to
as the net amounts in the Racetrack Table Games Funds, in
accordance with the provisions of subsection (d) of this section.

(c) Beginning with the fiscal year following the licensing of
every licensed racetrack to offer West Virginia Lottery racetrack
table games under this article, subsection (b) of this section
shall beis superseded and replaced by this subsection for
distribution of the balances in the fund established by subsection
(a) of this section. From the gross amounts deposited into the
fund, the commission shall:

(1) Retain an amount for the administrative expenses of the
commission as determined by the commission in accordance with
subsection (e) of this section;

(2) Transfer two and one-half percent of adjusted gross
receipts from all thoroughbred racetracks with West Virginia
Lottery table games to the special funds established by each
thoroughbred racetrack table games licensee for the payment of
regular racetrack purses, the amount being divided on a pro rata
basis between the special funds of each thoroughbred racetrack
table games licensee and transfer two and one-half percent of
adjusted gross receipts from all greyhound racetracks with West
Virginia Lottery table games to the special funds established by
each greyhound racetrack table games licensee for the payment of
regular racetrack purses, the amount being divided equally between
the special funds of each greyhound racetrack table games licensee;

(3) Transfer two percent of the adjusted gross receipts from
all licensed racetracks to the West Virginia Thoroughbred
Development Fund created under section thirteen-b, article twenty-three, chapter nineteen of this code and the West Virginia
Greyhound Breeding Development Fund created under section ten,
article twenty-three, chapter nineteen of this code. The total
amount transferred under this subdivision shall be divided pro rata
among the development funds for each racetrack table games licensee
based on relative adjusted receipts from each racetrack. The
amounts transferred to these funds may not be used for the benefit
of any person or activity other than at or associated with a
racetrack table games licensee;

(4) Transfer two percent of the adjusted gross receipts from
each licensed racetrack to the county commissions of the counties
where racetracks with West Virginia Lottery table games are
located. The money transferred under this subdivision shall be
divided pro rata among the counties with a racetrack with West
Virginia Lottery table games based on relative adjusted gross
receipts from each county’s racetrack: Provided, That the county
board of education of a growth county, as that term is defined in
section three, article twenty, chapter seven of this code, which
has enacted the Local Powers Act, and in which a racetrack is
located that has participated in the West Virginia Thoroughbred
Development Fund since on or before January 1, 1991, shall receive
one half of that county’s share of adjusted gross receipts as
provided in this subdivision for the purpose of capital
improvements;public projects, as defined in section two, article
two-h, chapter thirteen of this code, or to make payments on
lottery revenue bonds issued pursuant to article two-h, chapter
thirteen of this code to finance public projects.

(5) Transfer three percent of the adjusted gross receipts from
each licensed racetrack to the governing bodies of municipalities
within counties where racetracks with West Virginia Lottery table
games are located, which shall be allocated as follows:

(A) One half of the money transferred by this subdivision
shall be allocated to the municipalities within each county, other
than a county described in paragraph (C) of this subdivision,
having a racetrack table games licensee based on relative adjusted
gross receipts from West Virginia Lottery table games from those
racetracks and the total amount allocated to the municipalities
within a county shall be divided pro rata among the municipalities
based on each municipality’s population determined at the most
recent United States decennial census of population: Provided,
That: (i) For each allocation, when a municipality is physically
located in two or more counties, only that portion of its
population residing in the county where the authorized table games
are located shall be considered; (ii) a single municipality in a
county where West Virginia Lottery racetrack table games are played
may not receive a total share under this paragraph that is in
excess of seventy-five percent of the total distribution under this
paragraph for the county in which the municipality is located; and
(iii) a municipality receiving moneys under this paragraph may not
receive an amount which is less than that received by a
municipality under provisions of subdivision (4), subsection (d) of
this section.

(B) One half of the money transferred under this subdivision
shall be allocated pro rata to the municipalities within all the
counties, other than a county described in paragraph (C) of this
subdivision, having a racetrack table games licensee based on each
municipality’s population determined at the most recent United
States decennial census of population: Provided, That: (i) A
municipality which received funds above its pro rata share pursuant
to subparagraph (iii), paragraph (A) of this subdivision shall not
receive an allocation under this paragraph; (ii) for each
allocation, when a municipality is physically located in two or
more counties, only that portion of its population residing in the
county where the authorized table games are located shall be
considered; and (iii) a single municipality in a county where West
Virginia Lottery racetrack games are played may not receive a total
share under this paragraph that is in excess of twenty-five percent
of the total transfers under this paragraph.

(C) Notwithstanding the provisions of paragraphs (A) and (B)
of this subdivision, when a racetrack is located in a growth
county, as that term is defined in section three, article twenty,
chapter seven of this code, which has enacted the Local Powers Act,
and in which county a racetrack is located that has participated in
the West Virginia Thoroughbred Development Fund since on or before
January 1, 1991, the county board of education shall receive two
thirds of the share of adjusted gross receipts from West Virginia
Lottery table games from the racetrack in the county as provided in
this subdivision and the municipalities within the county shall
share the remaining one third of the total amount allocated as
provided in this paragraph. The municipal one-third share shall be
divided pro rata among the municipalities based on each
municipality’s population determined at the most recent United
States decennial census of population. All money transferred under
this paragraph shall be used by the county board of education and
by the municipalities for the purpose of capital improvements;public projects, as defined in section two, article two-h, chapter
thirteen of this code, or to make payments on lottery revenue bonds
issued pursuant to article two-h, chapter thirteen of this code to
finance public projects.

(6) Transfer one half of one percent of the adjusted gross
receipts to the governing bodies of municipalities in which a
racetrack table games licensee is located. The municipalities
shall each receive an equal share of the total amount allocated
under this subdivision Provided,except that distribution under
this subdivision may not be made to any municipality that did not
have a licensed racetrack within its municipal boundaries as they
existed on January 1, 2007, Provided, however, Thatand if no
racetrack table games licensee is located within a municipality, a
transfer may not be made under this subdivision; and

(7) Distribute the remaining amounts, hereinafter referred to
as the net amounts in the Racetrack Table Games Funds, in
accordance with the provisions of subsection (d) of this section.

(d) From the net amounts in the Racetrack Table Games Fund,
the commission shall:

(1) Transfer seventy-six percent to the State Debt Reduction
Fund which is hereby continued in the State Treasury. Moneys of
the fund shall be expended solely for the purpose of accelerating
the reduction of existing unfunded liabilities and existing bond
indebtedness of the state and shall be expended or transferred only
upon appropriation of the Legislature;

(2) Transfer four percent, divided pro rata based on relative
adjusted gross receipts from the individual licensed racetracks for
and on behalf of all employees of each licensed racing association,
into a special fund to be established by the Racing Commission to
be used for payment into the pension plan for all employees of each
licensed racing association;

(3) Transfer ten percent, to be divided and paid in equal
shares, to each county commission in the state that is not eligible
to receive a distribution under subdivision (4), subsection (b) of
this sectionProvided, That funds transferred to county commissions
under this subdivision shallto be used only to pay regional jail
expenses and the costs of infrastructure improvements and other
capital improvements Provided, however,except that up to fifty
percent of these funds may be pledged to make payments on lottery
revenue bonds issued pursuant to article two-h, chapter thirteen of
this code; and

(4) Transfer ten percent, to be divided and paid in equal
shares, to the governing bodies of each municipality in the state
that is not eligible to receive a distribution under subdivisions
(5) and (6), subsection (b) of this sectionProvided, That funds
transferred to municipalities under this subdivision shallto be
used only to pay for debt reduction in municipal police and fire
pension funds and the costs of infrastructure improvements and
other capital improvements Provided, however,except that up to
fifty percent of these funds may be pledged to make payments on
lottery revenue bonds issued pursuant to article two-h, chapter
thirteen of this code.

(e) All expenses of the commission incurred in the
administration and enforcement of this article shall be paid from
the Racetrack Table Games Fund, including reimbursement of state
law-enforcement agencies for services performed at the request of
the commission pursuant to this article. The commission’s expenses
associated with a particular racetrack with authorized table games
under this article may not exceed three percent of the total annual
adjusted gross receipts received from that licensee’s operation of
table games under this article, including, but not limited to, all
license fees or other amounts attributable to the licensee’s
operation of table games under this article, except as provided in
subdivision (2), subsection (a) of this section. However, for the
fiscal year following the licensing of every licensed racetrack to
offer West Virginia Lottery racetrack table games under this
article and for the fiscal year thereafter, the commission’s
expenses associated with a particular racetrack with authorized
table games under this article may not exceed four percent of the
total annual adjusted gross receipts received from that licensee’s
operation of table games under this article, including, but not
limited to, all license fees or other amounts attributable to the
licensee’s operation of table games under this article, except as
provided in subdivision (2), subsection (a) of this section. These
expenses shall either be allocated to the racetrack with West
Virginia Lottery table games for which the expense is incurred, if
practicable, or be treated as general expenses related to all
racetrack table games facilities and be allocated pro rata among
the racetrack table games facilities based on the ratio that annual
adjusted gross receipts from operation of table games at each
racetrack with West Virginia Lottery table games bears to total
annual adjusted gross receipts from operation of table games at all
racetracks with West Virginia Lottery table games during the fiscal
year of the state. From this allowance, the commission shall
transfer at least $100,000 but not more than $500,000 into the
Compulsive Gambling Treatment Fund created in section nineteen,
article twenty-two-a of this chapter.